Today, sponge manufacturers have reported minute price fluctuations of INR 100-200/MT against the last day trade. However, south based market has remained stable. Sponge market has been fluctuating marginally since last 2 weeks on account of bearish market sentiments.
Current offers for 78-80 FeM C-DRI are assessed at INR 12,000-12,100/MT ex-Durgapur, INR 11,100-11,300/MT ex-Rourkela, INR 12,600/MT ex-Raipur and INR 12,300-500/MT ex-Bellary. Meanwhile, the same grade P-DRI is available at the same level of INR 11,200-12,800/MT as a week ago.
A south based sponge manufacturer mentioned, “Despite strong scrap offers, sponge prices could not be able to find support and slipping continuously due to low production in western India. This in turn is persistently increasing premium between C-DRI and scrap.”
Domestic sponge offers as on 21 Apr’16
| Particulars | C-DRI | D-o-D | P-DRI | D-o-D | Current Premium | 1 Week earlier Premium |
| Ex-Durgapur | 11,900 | + 100 | 10,900 | + 150 | 1,000 | 1,000 |
| Ex-Rourkela | 11,200 | 0 | 0 | 0 | 0 | 0 |
| Ex-Raipur | 12,600 | + 200 | 11,000 | 0 | 1,600 | 1,250 |
| Ex-Bellary | 12,000 | – 100 | 11,600 | – 100 | 400 | 300 |
| Ex-Hyderabad | 13,500 | 0 | 12,900 | – 100 | 600 | 700 |
Prices in INR/MT
Source: SteelMint Research
Trade wise offers:
1. DR-CLO offers in Raipur gained by INR 100-200/MT. DR-CLO lump is available at INR 13,600-13,700/MT. While, 0-20 mm material is sold at INR 13,400-13,500/MT.
2. A Durgapur based manufacturer reported dull buying in sponge iron.
3. Prakash Sponge located in Chitradurga district, Karnataka has offered 78 FeM C-DRI at INR 12,100/MT and 75 FeM fines at INR 10,900/MT.
4. Hare Krishna, a 300 TPD sponge manufacturer in Karnataka, has offered 80 FeM P-DRI at INR 12,000/MT ex-plant.
5. Shiv Shakti Steel, a 200 TPD sponge manufacturer based in Hyderabad, has offered 80 FeM C-DRI lump at INR 13,500/MT ex-plant.
6. A Hyderabad based sponge iron manufacturer, Reactive Metals of India, has offered 80 FeM P-DRI lump at INR 12,800-13,000/MT ex-plant.
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